FCMB Group Raises N26bn to Boost Bank’s Capital
FCMB Plc has successfully raised N26 billion Tier-1 subordinated capital from the local bond market, according to a regulatory filing submitted to the Nigerian Exchange.
The Tier-2 bank told investors that it issued N26,000,000,000 Perpetual 16% Fixed Rate Resettable NC5.25 Additional Tier I Subordinated Bonds under the N300,000,000,000 Debt Issuance Programme.
According to FCMB, the offer was well received by the market with active participation from a diverse range of high-value investors, including corporations, other Financial Institutions, Trustees, and high net-worth individuals.
The AT1 instrument was issued at a clearing coupon rate of 16.0% per annum, details from the regulatory filling show.
“The successful Series 2 Bond issuance highlights the Group’s commitment to embracing innovation in the Nigerian Banking sector and is in line with the Central Bank of Nigeria’s desire for stronger capitalised banks”.
Management told the exchange that the net proceeds from the Series 2 Bond will be injected into the Group’s Banking Subsidiary – First City Monument Bank Limited– enabling the Group and the Bank to execute its long-term strategic objectives.
The statement reads that Chapel Hill Denham Advisory Limited and FCMB Capital Markets Limited acted as the Issuing Houses to the Series 2 Bond. Court Deletes Laws Denying Tax Debtor’s Right of Appeal
